{"id":482440,"date":"2026-05-13T10:55:10","date_gmt":"2026-05-13T10:55:10","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/482440\/"},"modified":"2026-05-13T10:55:10","modified_gmt":"2026-05-13T10:55:10","slug":"chinas-tencent-sees-boost-from-gaming-ai-demand-despite-revenue-miss","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/482440\/","title":{"rendered":"China&#8217;s Tencent sees boost from gaming, AI demand despite revenue miss"},"content":{"rendered":"<p>Chinese tech giant <a href=\"https:\/\/www.cnbc.com\/quotes\/700-HK\/\" rel=\"nofollow noopener\" target=\"_blank\">Tencent<\/a> on Wednesday reported revenues rose 9% in its first-quarter 2026 earnings, but missed analyst expectations.\u00a0<\/p>\n<p>Here&#8217;s how Tencent did in its first-quarter earnings for 2026, compared to LSEG analyst forecast data:<\/p>\n<ul>\n<li>Revenue: 196.5 billion Chinese yuan ($28.9 billion), compared to estimates of 199 billion Chinese yuan.<\/li>\n<li>Domestic games revenues: 45.4 billion Chinese yuan, up 6% year-on-year, but a slowdown compared to the 24% rise the segment saw in the <a href=\"https:\/\/www.cnbc.com\/2025\/05\/14\/tencent-q1-2025-earnings-report.html\" rel=\"nofollow noopener\" target=\"_blank\">first quarter of 2025.<\/a><\/li>\n<\/ul>\n<p>&#8220;We started 2026 by making significant initial progress on our new AI products, as well as continuing to utilise AI to grow our existing core businesses,&#8221; Ma Huateng, chairman and CEO of Tencent, said in a statement.<\/p>\n<p>&#8220;Our core businesses continued to grow their engagement, revenue and profit, providing the cash flow<br \/>to fund our AI investments, as well as use cases for future AI deployment,&#8221; he added.<\/p>\n<p><a id=\"headline0\"\/>Return on AI<\/p>\n<p>Tencent&#8217;s fintech and other business services segment brought in 60 billion Chinese yuan in the first three months of the year, up from 55 billion Chinese yuan during the same period a year ago.<\/p>\n<p>Business Services revenues rose by 20% year-on-year, with growth led by increased cloud services revenues supported by higher demand across domestic and international markets, including demand for AI-related services, the company said. It added its AI agent tool WorkBuddy was the most popular agentic service in China. <\/p>\n<p>The firm&#8217;s AI investments are already delivering a return, Ivan Su, senior equity analyst at Morningstar, told CNBC.<\/p>\n<p>&#8220;An upgraded AI-driven ad recommendation model drove an acceleration in advertising revenue growth to 20%,&#8221; he said. &#8220;AI spending is tracking in line with the full-year numbers management previously guided to.&#8221;<\/p>\n<p>However, Su flagged the slowdown in gaming revenue growth as a negative, adding that the slowdown appeared to be driven mostly by the &#8220;timing shift of Chinese New Year affecting revenue recognition rather than any underlying demand problem.&#8221;<\/p>\n<p><a href=\"https:\/\/www.google.com\/preferences\/source?q=https:\/\/www.cnbc.com\/\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Chinese tech giant Tencent on Wednesday reported revenues rose 9% in its first-quarter 2026 earnings, but missed analyst&hellip;\n","protected":false},"author":2,"featured_media":482441,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[261],"tags":[291,289,290,4053,12491,211027,860,79,207,6738,18,117,19,17,82,12274,146847],"class_list":{"0":"post-482440","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-breaking-news-asia","12":"tag-breaking-news-business","13":"tag-breaking-news-earnings","14":"tag-breaking-news-technology","15":"tag-business","16":"tag-business-news","17":"tag-earnings","18":"tag-eire","19":"tag-entertainment","20":"tag-ie","21":"tag-ireland","22":"tag-technology","23":"tag-tencent-holdings-ltd","24":"tag-tencent-music-entertainment-group"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ie\/116566905766605876","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/482440","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=482440"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/482440\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/482441"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=482440"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=482440"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=482440"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}